A CONTROVERSIAL North Dorset charity has been forced to close with debts of £28,000.

Receivers were called in to North Dorset Community and Volunteer Action on Friday afternoon after trustees decided that its financial prospects were grim.

Two staff have lost their jobs at the charity's computer learning centres in Blandford and Shaftesbury, which are now under threat.

Secretary to the trustees Joe Pestell said the debts included £12,000 to the Inland Revenue which had initiated seizure of the charity's assets.

He told the Daily Echo: "Myself and the chairman Gordon Clifton met with the Inland Revenue on Wednesday to clarify its intentions and the scope and conditions for a further delay in recovery.

"We came back and met with the trustees and concluded that the financial prospects for the charity are such that there is neither the possibility of repaying the legacy of debt nor of persuading the Inland Revenue to further delay collection of the amount due to them."

But Mr Pestell said the trustees, who only took over control of the charity's affairs in early November, remained optimistic about the future of its volunteer bureau, which had helped hundreds of organisations in North Dorset.

He added: "The situation with regard the two learning centres is less clear at present but it is hoped that these important community facilities can be retained in some form."

The charity, which was set up in 1996, has been beset by staff and financial difficulties in recent years.

Former trustee and ex-district councillor Mike Oram was forced to resign after being convicted of downloading computer images of child pornography.

First published: February 7